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Chamber and committees

Official Report: search what was said in Parliament

The Official Report is a written record of public meetings of the Parliament and committees.  

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Dates of parliamentary sessions
  1. Session 1: 12 May 1999 to 31 March 2003
  2. Session 2: 7 May 2003 to 2 April 2007
  3. Session 3: 9 May 2007 to 22 March 2011
  4. Session 4: 11 May 2011 to 23 March 2016
  5. Session 5: 12 May 2016 to 5 May 2021
  6. Current session: 12 May 2021 to 12 May 2025
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Displaying 2594 contributions

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Economy and Fair Work Committee

Scotland’s Economic Outlook

Meeting date: 14 December 2022

John Mason

My apologies for pushing you on that one. Susan Murray, would you like to come back in on where support for energy costs and so on should be targeted?

Finance and Public Administration Committee

Budget Scrutiny 2023-24 (United Kingdom Context)

Meeting date: 13 December 2022

John Mason

You talk about several measures where costings are particularly uncertain, and one of those is around the Department for Work and Pensions and His Majesty’s Revenue and Customs. You highlight that there are meant to be efficiency savings, but also that there are meant to be more resources to tackle fraud. You say that you sought reassurance from the Treasury, which you quote. Are you satisfied with that? Has the balance between trying to do more and being efficient been sorted?

Finance and Public Administration Committee

Budget Scrutiny 2023-24 (United Kingdom Context)

Meeting date: 13 December 2022

John Mason

It seems that there is a degree of uncertainty around that and we will just have to see what happens.

Another aspect that, I have to confess, was completely new to me was the pillar 2 corporate tax reforms, which are meant to yield £2.3 billion a year. Am I right in thinking that they are part of an international effort to sort out corporate tax? Is there quite a lot of uncertainty around that, too?

Finance and Public Administration Committee

Budget Scrutiny 2023-24 (United Kingdom Context)

Meeting date: 13 December 2022

John Mason

Thank you. I think that I followed some of that.

Another point that you make—I mean “you” in the plural, as I am not sure who will want to answer this question—is that the energy price guarantee and the business equivalent, which is the energy bill relief scheme, will impact on inflation by reducing it, while the £400 energy rebate that everyone is getting will not have any impact. I had not realised that that distinction exists. I do not know whether we are splitting hairs here, as we were over capital and revenue expenditure, but will you explain why the two things are treated differently?

Finance and Public Administration Committee

Budget Scrutiny 2023-24 (United Kingdom Context)

Meeting date: 13 December 2022

John Mason

You finish that paragraph in your report by saying that it leaves

“the public finances more vulnerable to future shocks or swings in market sentiment.”

What goes into market sentiment? Is that about confidence in the Government or the country?

Finance and Public Administration Committee

Budget Scrutiny 2023-24 (United Kingdom Context)

Meeting date: 13 December 2022

John Mason

First, I apologise for being late. I will not blame the buses or the trains. I am sorry that I missed the first couple of minutes of questions and answers, and I hope that I will not duplicate anything that was said then.

In the foreword to your report, you go over the timescales for this year’s forecast, and you make the point that it has been a little different from normal. It took, I think, 16 weeks instead of the usual 10. Can you confirm whether we are now where we would have been had we not had all the changes of Government and so on? Have they had a material impact on your forecasts?

Finance and Public Administration Committee

Budget Scrutiny 2023-24 (United Kingdom Context)

Meeting date: 13 December 2022

John Mason

You make the point that the tax burden will rise from 33.1 per cent to 37.1 per cent of GDP. I am interested in your use of the word “burden”. It suggests a slightly negative connotation, which I am not sure that you intended. How does that figure compare with the position in other countries, particularly in Europe? Is it much the same?

Finance and Public Administration Committee

Budget Scrutiny 2023-24 (United Kingdom Context)

Meeting date: 13 December 2022

John Mason

That was very helpful. It has also been mentioned that the debt stock has a historically short average maturity. Why is that? My understanding is that that makes it more susceptible to interest rate changes.

Finance and Public Administration Committee

Budget Scrutiny 2023-24 (United Kingdom Context)

Meeting date: 13 December 2022

John Mason

That is helpful. I picked up on the word “burden” because the committee recently had a conference on taxation at which we discussed the way in which we talk about tax and trying to make the public more enthusiastic about it.

Another figure that you have come up with is that debt is rising from 84.3 per cent to 97.6 per cent of GDP. We also talk about interest rates, which are currently well below inflation. Traditionally, however, one of the reasons for raising interest rates would be that a country’s currency is struggling; presumably, the higher the debt, the more questions there are about the currency. Should we be concerned about the 97.6 per cent figure or should the fact that it is planned to come down again reassure us?

10:30  

Finance and Public Administration Committee

Budget Scrutiny 2023-24 (United Kingdom Context)

Meeting date: 13 December 2022

John Mason

Thank you. I have a couple more questions that touch on things that have already been mentioned. The first is on the health impact and the suggestion that investment in health might get people back to work. Is there any concern about long Covid and, indeed, the effects of Covid, hospital waiting times and all the rest of it? Is that having an actual effect on the economy?